“It is difficult to compare production and sales numbers versus 2020 where Covid-19 impacted materially on the operations and the market,” says BlueRock Executive Chairman, Mike Houston.
“However, the Q2 figures are very pleasing with the tonnes processed a record and achieved whilst the operation is transitioning to the new plant. Furthermore, the grade has been consistent and the average size and quality of diamonds excellent as reflected in the sales price achieved.
“We continue to develop the main pit in preparation for the projected higher tonnages in the second half of the year once we have commissioned the new plant, which will enable us to hit our run rate production target of 1Mtpa and annual revenue of circa USD16 million assuming a grade of 4 cpht and an average sale price of USD400 per carat.
“The market has remained firm throughout the quarter with a strong buyer presence at the local tenders and a robust demand for the Kareevlei product. The overall market outlook is positive with a tightness on the rough diamond supply side and a growing retail sector as global economies continue to open up.
“The Covid situation in South Africa has deteriorated recently but with established mine protocols in place it has not to date impacted on the operations or the planned completion of the expansion project; management continue to monitor the situation closely. I look forward to updating shareholders during what remains a challenging but exciting period for the Company.”